In considering the international realm lets consider the con

In considering the international realm, let’s consider the concept of economic treaties. Specifically, let\'s think about an organization like the European Union (EU). Why was it formed? In addition, what are some of the objectives of the nations that are joining the EU?

Solution

The main aim of economic treaties is to boost the trade between the nations, thus overall focusing on the mutual economic growth and prosperity. The European Union was formed as an idea of forming peaceful and prosperous europe. With time the union focused on free trade between the nations, thus removing the cross border barriers, the countries which have higher opportunity cost in production of one good, has given the market to push up its limits, thus the specialization in the production of goods are focused, this specialization has resulted in economic growth / trade surplus. With time this benefits and the idea of free trade emerged and more and more countries joined the union.

Some of the objectives of the country\'s joining european union are:-